Modeling plays a crucial role in the over-the-counter (OTC) derivatives market, determining the approximate market value of equities, options, futures and bonds traded off-exchange. However, given the approximate nature of the valuations, Bob Park, CEO of Vancouver-based valuation and risk management solutions provider Fincad, says not enough attention has been paid to the limitations of models due to a lack of sufficient tests and model validation.
"A key problem in 2007 and 2008 was that peopl
James talks about his trip to Chicago and some of the interesting topics that came up (including a look at disaster recovery demands). Then Anthony and James touch on ISDA's initial margin rules, with Phase 3 going live next year.Subscribe to Weekly Wrap emails